Template-Type: ReDIF-Paper 1.0
Author-Name: Chang, C-L.
Author-Name-Last: Chang
Author-Name-First: Chia-Lin
Author-Person: pch286
Author-Name: Khamkaew, T.
Author-Name-Last: Khamkaew
Author-Name-First: Tanchanok
Author-Person: pkh249
Author-Name: McAleer, M.J.
Author-Name-Last: McAleer
Author-Name-First: Michael
Author-Person: pmc90
Author-Name: Tansuchat, R.
Author-Name-Last: Tansuchat
Author-Name-First: Roengchai
Author-Person: pta326
Title: Interdependence of international tourism demand and volatility in leading ASEAN destinations
Abstract: International and domestic tourism are leading economic activities in the world today.  Tourism has been known to generate goods and services directly and indirectly, attract foreign currency, stimulate employment, and provide opportunities for investment. It has also been recognized as an important means for achieving economic development. Substantial research has been conducted to evaluate the role of international tourism, and its associated volatility, within and across various economies.  This paper applies several recently developed models of multivariate conditional volatility to investigate the interdependence of international tourism demand, as measured by international tourist arrivals, and its associated volatility in the four leading destinations in ASEAN, namely Indonesia, Malaysia, Singapore and Thailand. Each of these countries has attractive tourism characteristics, such as significant cultural and natural resources. Shocks to international tourism demand volatility could affect, positively or negatively, the volatility in tourism demand of neighbouring countries. The empirical results should encourage regional co-operation in tourism development among ASEAN member countries, and also mobilize international and regional organizations to provide appropriate policy actions.
Creation-Date: 2009-11-23
File-URL: https://repub.eur.nl/pub/17299/EI2009-36.pdf
File-Format: application/pdf
Series: RePEc:ems:eureir
Number: EI 2009-36
Classification-JEL: C22, C32, F50, O53
Keywords: ASEAN, economic development, interdependence, multivariate GARCH, tourism demand, volatility spillovers
Handle: RePEc:ems:eureir:17299